Ultradata Systems Reports 4th Quarter Sales Surge And Returns To Profitability For Year Ended December 31, 2003
Monday March 29, 11:38 am ET
ST. LOUIS--(BUSINESS WIRE)--March 29, 2004--Ultradata Systems, Incorporated (OTCBB: ULTR - News), a leader in the field of hand-held electronic information systems, today announced audited financial results for the year ended December 31, 2003. The Company has filed the results on its Form 10-KSB with the Securities and Exchange Commission.
Net sales in 2003 increased to $2.86 million from $1.74 million in 2002, an increase of 64.4 percent. Ultradata reported net income of $109,695, compared with a net loss of $2.04 million in 2002. The profit in 2003 occurred because sales and earnings in the fourth-quarter of 2003 of $1.75 million and $429,582, respectively, offset the losses that the Company incurred during the first three quarters of 2003.
Commenting on the results, C.E.O. Monte Ross said, "The successful introduction of our new product, the Talking Road Whiz(TM), late in the third quarter resulted in a very strong fourth quarter and a significant backlog for the first quarter 2004. On December 31, 2003, our backlog was $646,963, compared to a backlog of $164,864 on December 31, 2002. Since then, we have received over $3 million in orders during the first quarter of 2004."
Mr. Ross continued, "As we expect continued strong sales of the Talking Road Whiz(TM) and variants, we are looking forward to a profitable 2004. During 2002 and 2003 we implemented a variety of measures to reduce expenditures and overhead. The result was that our cost of sales in 2003 fell by 21 percent, even as sales increased, and our operating expenses in 2003 were 27 percent lower than in 2002. Our overall gross margin for 2003 was 48.1 percent, compared to a negative gross margin for 2002."
Mr. Ross went on to say, "Our R&D effort during 2003 was less expensive than in previous years but better focused. We intend to continue to focus our R&D on developing improved versions of talking travel computers, as we strive for further market penetration and continued growth in sales. We feel that there is considerable opportunity for growth in this market niche."
Ultradata Systems, Incorporated (OTC Bulletin Board: ULTR - News) is a leader in the field of hand-held electronic information systems. Based in St. Louis, Missouri, the Company develops, manufactures and markets hand-held travel information computers, global positioning system (GPS) products and information systems used for locating destinations and trip planning. The Company's lead product, the handheld electronic travel information guide, has sold more than three million units and is marketed through chain drug stores, mass and consumer electronic retail chains, home centers, the automotive aftermarket, cable TV direct marketers, premium incentive catalogs and other channels. These products use the Company's patented data-compression technology and proprietary database to provide directions to thousands of destinations and services along highways and in major metropolitan areas.
This press release contains forward-looking statements within the meaning of applicable federal securities laws. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or other changes. Readers are cautioned not to place undue reliance on these forward-looking statements. Risk factors that may cause future results to differ from those implied in these forward-looking statements include, but are not limited to, the fact that our limited financial resources may be insufficient to permit us to develop products and introduce them to the market, the fact that we rely on a small number of customers so that the loss of a significant customer could imperil the marketing of an entire product line, and the difficulty of attracting mass-market retailers to a seasonal product like the Talking Road Whiz(TM). Additional information relating to historical financial and operational performance, the company's strategies, competitive risks, and market conditions are available in Ultradata Systems' reports on Form 10KSB and 10QSB on file with the Securities and Exchange Commission.
Ultradata Systems, Incorporated
Condensed Statement of Operations
Twelve Months Ended
December 31,
2003 2002
Net sales $ 2,863,258 $ 1,741,557
Gross profit (loss) 1,376,716 (146,212)
Operating income (loss) 183,468 (1,776,238)
Net income (loss) $ 109,695 $(2,037,733)
Less preferred stock dividends (5,190) (3,600)
Net income (loss) available to common
Shareholders $ 104,505 $(2,041,333)
Income (loss) per share
(basic and diluted) $ 0.02 $ (0.59)
Weighted average shares outstanding
(basic and diluted) 4,872,026 3,444,312
Ultradata Systems, Incorporated
Condensed Balance Sheet
December 31, 2003
Assets
Cash $ 2,926
Accounts receivable, net 627,490
Inventories, net 55,594
Prepaid expenses 5,166
Total current assets 619,176
Property Plant and Equipment (net) 25,958
Other assets 5,444
Total assets $ 722,578
Liabilities and Shareholders' Deficiency
Accounts Payable 460,701
Total accrued expenses and other 90,792
Notes payable - current 173,802
Total current liabilities $ 725,295
Total liabilities 725,295
Common stock 57,838
Additional paid-in capital 8,916,685
Accumulated deficit (8,977,240)
Total shareholders' deficiency (2,717)
Total liabilities and shareholders' deficiency $ 722,578
--------------------------------------------------------------------------------
Contact:
Ultradata Systems, Incorporated
Ernest Clarke, 314-997-2250
--------------------------------------------------------------------------------
Source: Ultradata Systems, Incorporated |
